Queries Answered by Reserve Bank India on the exchange of old Rs 500 and Rs 1000 notes

Here are a list of queries answered by the Reserve Bank of India, on the recent ban of Rs 500 and Rs 1000 notes

1

Why is this scheme introduced?

The incidence of fake Indian currency notes in higher denomination has increased. For ordinary persons, the fake notes look similar to genuine notes, even though no security feature has been copied. The fake notes are used for anti-national and illegal activities. High denomination notes have been misused by terrorists and for hoarding black money. India remains a cash based economy hence the circulation of Fake Indian Currency Notes continues to be a menace. In order to contain the rising incidence of fake notes and black money, the scheme to withdraw has been introduced.